on December 31st 2016 Columbus company had 1385000shares of $6 par common stock
ID: 2580190 • Letter: O
Question
on December 31st 2016 Columbus company had 1385000shares of $6 par common stock issued and outstanding at December 31st 2016 stockholders Equity had the amounts listed here
Common stock 8310000
Additional paid in capital 1825000
retained earnings 1180000
transactions during 2017 and other information related to stockholders Equity accounts were as follows
1. on January 10th 2017 issued at $109 per share 124,000 shares of $104 par value 9% cumulative preferred stock
2. on February 8th 2017 reacquired 17900 shares of its common stock for $11 per share
3. on May 9th 2017 declared the yearly cash dividends on preferred stock payable June 10th 2017 to stockholders of record on May 31st 2017
4. on June 8th 2017 declared a cash dividend of a dollar 75 per share on the common stock outstanding payable on June 10th 2017 to stockholders of record on July 1st 2017
5. net income for the year was 3 million $515,000
prepare the stockholders Equity section of Columbus balance sheet at December 31st 2017
Explanation / Answer
Stockholder's Equity :-
Working Note :- Retained Earnings
Particulars Amount ($) Amount ($) Capital Stock :- Prederred Stock(124000*$104) 12896000 Common Stock 8310000 Total Capital Stock 21206000 Additional Paid in Capital :- Paid in Capital in Excess of Par Value - Preferred(124000*$5) 620000 Paid in Capital in Excess of Par Value - Common 1825000 Total Additional Paid In Capital 2445000 Total Paid In Capital 23651000 Retained Earnings (Working Note ) 2509035 Less : Treasury Stock(17900*$11) (196900) Total Stockholder's Equity 25963135Related Questions
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